Economic Fuel Equalizer But With Caution
Prices of electricity and natural gas were flat or had single digit increases compared to oil increasing 37% and propane 28%. Electricity is a utility government regulated for its prices and must prove it needed to increase costs to provide the service. However, it is more a planned increase and is spread across many customers. Therefore, a mixture of using electricity and a fuel to heat seems to be a way to hedge against dramatic increases in fuel costs and the budget.
The other factor is that fuel delivery companies are usually small and are not regulated to prevent shutting off of deliveries for nonpayment. Electric utilities are regulated to not allow shut off in winter months. However, there is the right way to use electric heat and the wrong way.
Electric heaters are one of the largest contributors to fire due to the inappropriate use of them. Therefore, the installation of the most efficient baseboard electric heat systems would seem to be helping individuals and families both short term and long term. I understand the reluctance’s to install permanent systems due to fact that improvements to properties when not owned by individuals may be considered really benefiting the landlord. However, I challenge the fact of whether the family or the landlord is realizing the benefit. The key benefit to the landlord is that their risk of fire by a plugged in heating source terminated. A family/individual benefits by having a safe reliable heating source regardless of the markets changing fuel prices during the winter.
When creating policy for helping individuals and families to stay warm in the winter I ask you to think about what other alternative support would make this individual/family less dependent on a fuel subsidy in the future. Remember when you write that check for fuel subsidy, the cash is gone for good and it has no lasting effect for resolving the problem. The economic dependence of the cost of keeping warm for the individual/family is the same economic dependence the USA has on other countries for fuel. Help make individuals/families more independent with alternative energy means and you will simultaneously make the USA independent from other countries for its energy.
Each of person, each organization, each business, each state and the federal government taking an action to lower their dependence on energy results in a powerful long-term change for us all. It starts with you.
